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CNOOC-ADNOC LNG Deal Likely Priced at JKM Discount

LNG

The two-year LNG supply deal signed between CNOOC and ADNOC for 12 cargoes across 2024-2025 was likely priced at a discount to JKM, according to Platts.

  • The contract was signed Nov. 6 and provides 0.5m mtpa of LNG.
  • Deals indexed against JKM usually use the average JKM price across the delivery month.
  • Historically, Middle Eastern companies have sold LNG on brent-indexed pricing, but Platts’ sources said that recent transactions by ADNOC’s trading arm had used JKM indexes.
  • Nonetheless, Platts added that ADNOC deals with PetroChina, Jera, and Japex were indexed against Dated Brent.

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